Salinas City Council
August 6, 2024

CITY OF SALINAS
PRELIMINARY ENGINEER’S REPORT

VISTA NUEVA MAINTENANCE
ASSESSMENT DISTRICT NO. 97-2
FISCAL YEAR 2024-25

MONTEREY COUNTY, CALIFORNIA
July 2024

PREPARED BY
101 Progress, Suite 250
Irvine, CA 92618
www.weareharris.com
Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

TABLE OF CONTENTS
Engineer’s Certification ................................................................................................. 1 Part I - Overview ........................................................................................................... 4 Part II - Plans and Specifications ................................................................................... 5 Part III – Cost Estimate .................................................................................................. 6 Part IV – District Benefits .............................................................................................. 9 Part V – Method of Apportionment............................................................................ 12 Part VI – Assessment Diagram .................................................................................... 13 Part VII – Assessment Roll........................................................................................... 14 Appendix A - Planned Capital Improvements ............................................................. 15 Appendix B - District Boundaries and Improvements................................................. 16 Appendix C - Assessment Roll ..................................................................................... 17 1 ENGINEER’S CERTIFICATION
AGENCY: THE CITY OF SALINAS
PROJECT: VISTA NUEVA MAINTENANCE ASSESSMENT DISTRICT NO. 97-2 TO: THE CITY COUNCIL OF THE

CITY OF SALINAS

STATE OF CALIFORNIA
ENGINEER’S REPORT FOR FISCAL YEAR 2024-2
Pursuant to Part 2 of Division 15 of the Streets and Highways Code of the State of California, Article XIIID of the California Constitution (Proposition 218), and the Proposition 218 Omnibus Implementation Act, and provisions of the Landscaping and Lighting Act of 1972 (the "Act"), and in accordance with the Resolution of Initiation, adopted by the City Council of the City of Salinas, State of California, in connection with the proceedings for:

VISTA NUEVA MAINTENANCE ASSESSMENT DISTRICT NO. 97-2
(Hereinafter referred to as the “District”),
I, Tamorah Bryant, authorized representative of the District, the duly appointed Assessment Engineer submit the following Report which consists of the following seven (7) parts and Appendices:

PART I
Overview: Provides the background and reason for the District.

PART II
Plans and Specifications: Plans and specifications for the improvements are as set forth on the lists thereof, attached hereto, and are on file in the Office of the City Engineer and are incorporated herein by reference.

PART III
Cost Estimate: An estimate of the costs of the proposed improvements, including incidental costs and expenses in connection therewith, is as set forth on the lists thereof, attached hereto, and are on file in the Office of the City Clerk and incorporated herein by reference. 2 PART IV
District Benefits: A discussion of the benefits provided by the District identifies, separates and quantifies the general and special benefits received by each parcel in the District, for the services received and the improvements provided.

PART V
Method of Apportionment: The method of apportionment of assessments, indicating the proposed assessment of the net amount of the costs and expenses of the improvements to be assessed upon the several lots and parcels of land within the District, in proportion to the estimated benefits to be received by such lots and parcels.

PART VI
Assessment Diagram: The Diagram of the District Boundaries showing the exterior boundaries of the Assessment District and the lines and dimensions of each lot or parcel of land within the Assessment District. The lines and dimensions of each lot or parcel within the Assessment District are those lines and dimensions shown on the maps of the Assessor of the County of Monterey for the fiscal year to which this Report applies. The Assessor's maps and records are incorporated by reference herein and made part of this Report.

PART VII
Assessment Roll: An assessment of the estimated cost of the improvements on each benefited lot or parcel of land within the District.

Appendices
Appendix A Planned Capital Improvements
Appendix B District Boundaries and Improvements
Appendix C Assessment Roll

3 In conclusion, it is my opinion that the costs and expenses of the District have been assessed to the lots and parcels within the boundaries of the District in proportion to the estimated benefits to be received by each lot or parcel from the services provided and in conformance with the assessment methodology adopted by the City Council for the levying of assessments.

DATED: July 25, 2024
Tamorah Bryant, P.E., Assessment Engineer
R.C.E. No. C67205
Engineer of Work
I HEREBY CERTIFY that the enclosed Engineer's Report, together with Assessment Roll and Assessment Diagram thereto attached, was filed with me on the 6th day of August, 2024.

Patricia M. Barajas, City Clerk
City of Salinas
Monterey County, California
By
I HEREBY CERTIFY that the enclosed Engineer's Report, together with Assessment Roll and Assessment Diagram thereto attached, was approved and confirmed by the City Council of the City of Salinas, California, on the 6th day of August, 2024.

Patricia M. Barajas, City Clerk
City of Salinas
Monterey County, California
By
Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

4 PART I – OVERVIEW
The City of Salinas (the “City”) established the Vista Nueva Maintenance District to provide a source of funding for the on-going maintenance of the amenities that were installed for the benefit of the parcels within the District. The district was created under Article II, Chapter 21C of the City of Salinas Municipal Code and the Landscaping and Lighting Act of 1972 of the State of California (the “1972 Act”). As required, the City prepares an Engineer’s Report annually and holds a public hearing to allow property owners within the District to address the City Council prior to the annual levy of the assessments.

This Engineer’s Report (the “Report”) sets forth the proposed assessments for Fiscal Year 2024-25 for the Vista Nueva Maintenance District (the “District”). Since the District was created prior to the passage of Proposition 218 in 1996, which established Article XIIID of the State Constitution, the District is a “grandfathered” assessment district by Section 5(a). As such it is not subject to the legal requirements of Proposition 218 so long as the assessments remain at rates that are equal to or less than the maximum assessment rates that were in place in 1996.

At the time the Vista Nueva District was created, a flat $12 increase per year (not to exceed a maximum total assessment of $600 per year) was incorporated in the assessment formula. The maximum assessment of $600 per year was reached in 2011 when the rate increased from $592 to $600 per year.

Therefore, the assessment rate will not increase this year as the annual assessment has reached its cap.

The estimated cost of maintenance services for Fiscal Year 2024-25 are detailed in Part III of this Report.

As shown in the proposed Fiscal Year 2024-25 budget, assessment revenues will be approximately $26,275 less than budgeted expenses, which will be drawn from the reserve fund. With this draw, the reserve fund will decrease to be approximately $100,108. The City has prepared a capital improvement plan for Fiscal Year 2024-25 and beyond, which is anticipated to further reduce the reserve fund balance.

All assessable parcels identified as being within the District share in both the cost and the benefits of the improvements. The costs and expenses associated with the improvements in the District are equitably spread among all benefiting parcels within the District and only parcels that receive special benefit from the improvements are assessed in proportion to benefit received. The funds collected from the assessments are dispersed and used for the services and operation provided within the District. A discussion of District benefits is provided in Part IV of this Report and the method of apportioning District costs to the parcels of land within the District is provided in Part V of this Report and Appendix C lists the assessment amount for each parcel in the District for Fiscal Year 2024-25.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

5 PART II – PLANS AND SPECIFICATIONS
The facilities, which have been constructed within the City of Salinas, and those which may be subsequently constructed, will be operated, serviced and maintained are generally described as follows:

The assessments provide for the installation and maintenance of a telephone/alarm system for the Sanitary Sewer Pump Station; monitor and maintain a sanitary sewer pump station twice a week, and a sanitary sewer main four times a year with City forces, or as needed; adjust manhole and flushing inlet covers to existing street grade; maintain street pavement by public works contract; provide maintenance and power for a new street light system; and maintain subdivision fence.

In addition, the District also funds all maintenance, servicing and operation in accordance with NPDES requirements of the City of Salinas storm water permit. The continued maintenance of these improvements shall be budgeted and reviewed each fiscal year and fully or partially funded through the annual assessments.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

6 PART III – COST ESTIMATE
Estimated costs for Fiscal Year 2024-25 for the construction, operation, servicing and maintenance of the facilities described in Part II are shown in Table 1.

Table 1: Multi-Year Budget
Adopted Amended Proposed Forecasted Forecasted
Budget Budget Budget Budget Budget
FY 2023-24 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27
EXPENDITURES 1 Maintenance
Equipment and Other Maintenance $85,010 $84,500 $27,335 $28,155 $29,000 Other Outside Services 5,000 5,000 5,150 5,305 5,464
Equipment Rental 5,000 5,000 5,150 5,305 5,464
Contingencies 0 500 515 530 546
Subtotal Maintenance: $95,010 $95,000 $38,150 $39,295 $40,473 Utilities
Leased Lines $0 $0 $0 $0 $0
Electricity - Street Lights 1,000 1,000 1,030 1,061 1,093 Electricity 1,200 1,200 1,236 1,273 1,311
Subtotal Utilities: $2,200 $2,200 $2,266 $2,334 $2,404
Administrative Expenses
Agency Administration $3,000 $3,010 $3,100 $3,193 $3,289 Professional Fees 2
5,450 8,490 4,069 4,191 4,317
Subtotal Administrative Expenses: $8,450 $11,500 $7,169 $7,384 $7,606 Capital Improvements $2,000 $150,000 $10,000 $10,000 $10,000 TOTAL EXPENDITURES: $107,660 $258,700 $57,585 $59,013 $60,483

REVENUE AND LEVY ADJUSTMENTS
Balance to Levy $29,890 $29,890 $29,890 $29,890 $29,890 Reserve From/(To) 75,770 226,810 25,800 27,614 29,499
Estimated Interest Earnings 2,000 2,000 1,896 1,509 1,095 TOTAL REVENUE AND LEVY ADJUSTMENTS: $107,660 $258,700 $57,585 $59,013 $60,483

DISTRICT STATISTICS
Total Parcels 49 49 49 49 49
Total Parcels Levied 49 49 49 49 49
ASSESSMENT RATES 3 Assessment Rate per Parcel $600.00 $600.00 $600.00 $600.00 $600.00 Maximum Rate per Parcel 4 $600.00 $600.00 $600.00 $600.00 $600.00 ASSESSMENT REVENUE 5
Total Assessments Levied $29,890 $29,890 $29,890 $29,890 $29,890 Assessment Revenue at Maximum Rates $29,890 $29,890 $29,890 $29,890 $29,890 Capacity for Additional Revenue $0 $0 $0 $0 $0

FUND BALANCE INFORMATION
Reserve Fund
Estimated Beginning Reserve Fund Balance $353,193 $353,193 $126,383 $100,583 $72,969 Surplus/(Deficit) (75,770) (226,810) (25,800) (27,614) (29,499) Projected Ending Reserve Fund Balance: $277,423 $126,383 $100,583 $72,969 $43,471 1 Estimated expenditures for FY 24-25 are equal to the greater of the prior years' budgeted amount or amended amount, increased by 3% unless noted otherwise. Estimated Equipment and Other Maintenance for FY 24-25 reduced based on City Staff estimates. Estimated expenditures for FY 25-26 and 26-27 are equal to the previous years' amount, increased by 3% unless noted otherwise. 2 Professional Fees are based on Harris & Associates district administration contract. 3 Assessment Rates do not include the City Collection Fee which is $10 per assessed parcel and in addition to the assessment rate. 4 Maximum Rate Per Parcel can't be increased unless approved by a property owner vote in compliance with Proposition 218. 5 Assessment Revenue includes the City Collection Fee which is $10 per assessed parcel in addition to the assessment rate.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

7 Glossary of Budget Items
A glossary of definitions for the multi-year budget table is provided below.

Expenditures
Maintenance
 Equipment and Other Maintenance. Includes all contracted labor, material and equipment required to properly maintain the Sanitary Sewer Pump Station within the District.  Other Outside Services. Costs related to additional services in addition to City staff who provide services such as monitoring, project documentation, inspection and testing of the Sewer Pump Station.
 Equipment Rental. Includes costs related to the rental of equipment to maintain the Sanitary Sewer Pump Station.
 Contingencies. This item is to allow for unforeseen expenses related to facilities and improvements needing additional services or replacement.

Utilities
 Leased Lines. The cost of leased lines for the telephone/alarm system that monitors the Pump station.
 Electricity – Street Lights. The cost of electricity required for the operation and maintenance of the streetlights.
 Electricity. The cost of electricity for the equipment that monitors the Pump Station.

Administrative Expenses
 Agency Administration. The cost to the City for providing the coordination for District service, operations and maintenance, responding to public concerns and education, and administering the annual levy including, but not limited to the costs associated with City staff salaries and for time utilized for District purposes, the costs of resource materials or any other administrative expenses or fees associated with the District.
 Professional Fees. The costs of contracting with professionals to provide services specific to the levy administration and any additional administrative, legal or engineering services specific to the District.
 City Collection Fee. The cost to collect District assessments, including the fee the County charges to collect the assessments on the property tax bills. The charge is $10 per levied parcel.  Capital Improvements. The amount planned for constructing, repairing or replacing capital items in the District based on the City’s FY 2023-24 Adopted CIP Budget Document, which is included in Appendix A.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

8 Revenue and Levy Adjustments
Balance to Levy. The total assessment amount that is levied in the District.

Reserve From/(To). The amount transferred from the Reserve Fund to make up for all or part of a funding deficit in the District or the amount of the funding surplus in the District that is transferred to the Reserve Fund.

Estimated Interest Earnings. The combined estimated annual interest to be earned on funds held in the Reserve Fund.

District Statistics
Total Parcels. The total number of parcels within the boundaries of the District.

Total Parcels Levied. The total number of parcels that are assessed.

Assessment Rates
Assessment Rate per Single Family Unit. The rate per residential unit levied on Single Family Residence Parcels.

Maximum Rate per Single Family Unit. The maximum rate per residential unit that can be levied on Single Family Residence Parcels.

Assessment Revenue
Total Assessments Levied. The total amount levied on all assessed parcels in the District.

Assessment Revenue at Maximum Rates. The total amount that can be levied on all assessed parcels in the District.

Capacity for Additional Revenue. If the total assessments levied are less than assessment revenue at maximum rates, this is the additional amount of revenue can be generated if the assessments are increased up to the maximum rates.

Fund Balance Information
Reserve Fund. Pursuant to Section 22569 of the 1972 Act, the operating reserve fund is utilized to operate the District from the time period of July 1 (beginning of the fiscal year) through December when the County provides the City with the first installment of assessments collected from the property tax bills, thereby eliminating the need for the City to transfer funds from non-district accounts to pay for District charges during the first six (6) months of the fiscal year.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

9 PART IV – DISTRICT BENEFITS
Authorizing Legislation
The Salinas Municipal Code and the Landscape and Lighting Act (the “Act”) allows the City to establish maintenance districts for the purpose of providing certain public improvements which provide a special benefit to the parcels, including the construction, maintenance, and servicing of street lights, traffic signals, and landscaping facilities. The Salinas Municipal Code expands the types of improvements to be maintained to include “sanitary sewer system facilities, storm drainage facilities and any other works, utility or appliances necessary or convenient for providing any other public service.” Section 22573 of the Act requires that maintenance assessments be levied according to benefit rather than according to the assessed value of property. This section states:
“The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements.”
— Streets and Highways Code Section 22573
Furthermore, Section 22574 of the Act permits the designation of zones of benefit within any individual assessment district if “by reason of variations in the nature, location, and extent of the improvements, the various areas will receive different degrees of benefit from the improvements.” The amount to be assessed may be apportioned by any formula or method which fairly distributes the amount among all assessable lots or parcels.

Proposition 218 – The Grandfather Clause
The Vista Nueva Maintenance District was established prior to the adoption of Proposition 218 which established July 1, 1997 as the effective date for assessments to meet all of the requirements of Article XIII D of the California State Constitution. As a result, the Vista Nueva Maintenance District is “grandfathered” under Section 5 of Article XIIID which states:
“Beginning July 1, 1997, all existing, new, or increased assessments shall comply with this article… …the following assessments existing on the effective date of this article shall be exempt from the procedures and approval process set fort… …any assessment… … sidewalks, streets, sewers, water, flood control, drainage systems or vector control…” — Article XIID, Section 5
Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

10 Section 5 further states that “subsequent increases in such assessments shall be subject to the procedures and approval process…” required by Proposition 218.

General Benefits
Since the District improvements are entirely located within the Vista Nueva Subdivision or immediately adjacent to the benefited parcels, it has been determined that there is little or no general benefit to the public at large.

Special Benefits
The method of apportionment (assessment methodology) approved at the time the District was formed is based on the premise that each of the assessed parcels within the District receives a special benefit from the improvements maintained and funded by annual assessments. Specifically, the assessments are for the maintenance of improvements installed as part of the original development to serve the parcels within the District. The special benefits associated with the improvements are:
 Increased sewer reliability to the properties due to minimized disruption in sewer disposal.  Increased functioning, minimized disruption, and early detection of issues through the pump station alarm system.
 Enhanced desirability of properties through association with the improvements within the area.  Improved aesthetic appeal of properties providing a positive representation of the area.  Increased sense of pride in ownership of property resulting from well-maintained improvements associated with the properties.
 Reduced vandalism and criminal activity resulting from well-maintained surroundings and amenities.

Property enhancement through improved erosion resistance, dust and debris control and reduced noise and air pollution. All of the preceding special benefits contribute to a specific enhancement and desirability of each of the assessed parcels within the District.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

11 Non-Assessed Parcels
Within the boundaries of the District, there are types of properties that are not assessed based upon the assessment methodology that was adopted when the District was formed. These parcels include:
 Common areas owned by the Home-Owners Association
Any proposed assessment rate increase in the future will require consideration of whether the nonassessed parcels receive special benefits or not, and assessments must be levied on any parcel that is deemed to receive special benefits.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

12 PART V – METHOD OF APPORTIONMENT
The Method of Assessment outlines the formula by which property that receives special benefit from the improvements and services provided will be assessed annually. The Method of Assessment for the District based on the methodology established when the district was formed is as follows:

Assessments
The assessment will be spread equally to each parcel. Beginning with fiscal Year 1997/98, each parcel's assessment was $480 per year ($40 per month) and escalated $12 each year to the maximum allowed payment of $600 per year ($50/month), including administrative fees. Each parcel may be levied up to the maximum assessment rate.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

13 PART VI – ASSESSMENT DIAGRAM
The District assessment diagram is on file with the City’s Office of the City Clerk and is available for public inspection.

The lines and dimensions of each lot or parcel within the District are those lines and dimensions shown on the maps of the Assessor of the County of Monterey for the fiscal year to which this Report applies.

The Assessor's maps and records are incorporated by reference herein and made part of this Report.

Vista Nueva Maintenance Assessment District No. 97-2 Boundaries A reduced copy of the Assessment Diagram is provided as Appendix B.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

14 PART VII – ASSESSMENT ROLL
The assessment set forth for each parcel is shown on the Assessment Roll for the District is provided on the following pages, and is submitted separately, as "Assessment Roll for City of Salinas, Vista Nueva Maintenance Assessment District No. 97-2, Fiscal Year 2024-25”, which is under separate cover, and on file in the Office of the City Clerk.

The Assessment Roll, shown in Appendix C, lists all assessed parcels within the boundaries of the District.

A list of names and addresses of the owners of all parcels within the District is shown on the last equalized Property Tax Roll of the Assessor of the County of Monterey, which by reference is hereby made a part of this report. This list is keyed to the Assessor's Parcel Numbers as shown on the Assessment Roll on file in the office of the City Clerk of the City of Salinas.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

15 APPENDIX A – PLANNED CAPITAL IMPROVEMENTS
Note: The funding of $150,000 for Capital Improvement Project 9056 was applied as an expenditure in FY23-24, and the FY24-25 expenditure has been revised to $10,000.

Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25

16 APPENDIX B – DISTRICT BOUNDARIES & IMPROVEMENTS
Engineer’s Report
Vista Nueva Maintenance Assessment District No. 97-2
City of Salinas
Fiscal Year 2024-25
17 APPENDIX C – ASSESSMENT ROLL
The Assessment Roll is shown on the following pages.

Assessor's Rate Assessment City Fee Total
Parcel Number Per Parcel Amount Amount Levy Amount 004-342-001-000 $600.00 $600.00 $10.00 $610.00 004-342-002-000 $600.00 $600.00 $10.00 $610.00
004-342-003-000 $600.00 $600.00 $10.00 $610.00
004-342-004-000 $600.00 $600.00 $10.00 $610.00
004-342-005-000 $600.00 $600.00 $10.00 $610.00
004-342-006-000 $600.00 $600.00 $10.00 $610.00
004-342-007-000 $600.00 $600.00 $10.00 $610.00
004-342-008-000 $600.00 $600.00 $10.00 $610.00
004-342-009-000 $600.00 $600.00 $10.00 $610.00
004-342-010-000 $600.00 $600.00 $10.00 $610.00
004-342-011-000 $600.00 $600.00 $10.00 $610.00
004-342-012-000 $600.00 $600.00 $10.00 $610.00
004-342-013-000 $600.00 $600.00 $10.00 $610.00
004-342-014-000 $600.00 $600.00 $10.00 $610.00
004-342-015-000 $600.00 $600.00 $10.00 $610.00
004-342-016-000 $600.00 $600.00 $10.00 $610.00
004-342-017-000 $600.00 $600.00 $10.00 $610.00
004-342-018-000 $600.00 $600.00 $10.00 $610.00
004-342-019-000 $600.00 $600.00 $10.00 $610.00
004-342-020-000 $600.00 $600.00 $10.00 $610.00
004-342-021-000 $600.00 $600.00 $10.00 $610.00
004-342-022-000 $600.00 $600.00 $10.00 $610.00
004-342-023-000 $600.00 $600.00 $10.00 $610.00
004-342-024-000 $600.00 $600.00 $10.00 $610.00
004-342-029-000 $600.00 $600.00 $10.00 $610.00
004-342-030-000 $600.00 $600.00 $10.00 $610.00
004-342-031-000 $600.00 $600.00 $10.00 $610.00
004-342-032-000 $600.00 $600.00 $10.00 $610.00
004-342-033-000 $600.00 $600.00 $10.00 $610.00
004-342-034-000 $600.00 $600.00 $10.00 $610.00
004-342-035-000 $600.00 $600.00 $10.00 $610.00
004-342-036-000 $600.00 $600.00 $10.00 $610.00
004-342-037-000 $600.00 $600.00 $10.00 $610.00
004-342-038-000 $600.00 $600.00 $10.00 $610.00
004-342-039-000 $600.00 $600.00 $10.00 $610.00
004-342-040-000 $600.00 $600.00 $10.00 $610.00
004-342-041-000 $600.00 $600.00 $10.00 $610.00
004-342-042-000 $600.00 $600.00 $10.00 $610.00
004-342-043-000 $600.00 $600.00 $10.00 $610.00
004-342-044-000 $600.00 $600.00 $10.00 $610.00
004-342-045-000 $600.00 $600.00 $10.00 $610.00
004-342-046-000 $600.00 $600.00 $10.00 $610.00
004-342-047-000 $600.00 $600.00 $10.00 $610.00
004-342-048-000 $600.00 $600.00 $10.00 $610.00
004-342-049-000 $600.00 $600.00 $10.00 $610.00
004-342-052-000 $600.00 $600.00 $10.00 $610.00
004-342-053-000 $600.00 $600.00 $10.00 $610.00
004-342-054-000 $600.00 $600.00 $10.00 $610.00
004-342-055-000 $600.00 $600.00 $10.00 $610.00
Totals for 49 Parcels: $29,400.00 $490.00 $29,890.00
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#24-401, Version: 1
American Rescue Plan Act (ARPA) Projects Update
Approve a Resolution authorizing the reallocation of American Rescue Plan Act (ARPA) funding appropriations for certain projects within the same department.

City of Salinas Page 1 of 1 Printed on 8/1/2024
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CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: AUGUST 6, 2024
DEPARTMENT: FINANCE
FROM: RENE MENDEZ, CITY MANAGER
BY: JIM PIA, ASSISTANT CITY MANAGER

SELINA ANDREWS, ACTING FINANCE DIRECTOR

ABE PEDROZA, SENIOR FINANCE MANAGEMENT ANALYST
TITLE: AMERICAN RESCUE PLAN ACT (ARPA) PROJECTS UPDATE
RECOMMENDATION:

A motion to approve a resolution authorizing the reallocation of American Rescue Plan Act (ARPA) funding appropriations for certain projects within the same department.

EXECUTIVE SUMMARY:

City Council allocated appropriations to nineteen (19) eligible projects through the use of American Rescue Plan Act (ARPA) funding. The projects were consistent with the intent of the Act and in alignment with previous Council guidance. In addition, Council considered the multiple needs of the Salinas community in terms of equitable continuation of City services, infrastructure, investments in water and sewer, and homeless support services. On July 23, 2024, the Finance Committee reviewed staff’s recommendations to reallocate ARPA funding and provided feedback.

At this time, staff would like to update City Council on the status of ARPA projects and recommend reallocation of $2.6 million between projects within the same department.

BACKGROUND:

On March 11, 2021, President Biden signed the American Rescue Plan Act, which provided the City with $51,567,313 in relief funds. These additional resources have provided critical community and economic recovery support.

ARPA requires that local governments obligate all ARPA funds (e.g., encumber funding through the issuance of contracts/purchase orders) by December 31, 2024, and to expend all ARPA funds by December 31, 2026. Due to this timeline, a number of the community and economic recovery workstreams were anticipated to be spent over a multi-year period. Of the $51.6 million initially received ARPA funding, a remaining amount of $27.5 million is included in the FY 2024-25 Page | 2
Budget. While the City has made considerable progress in this effort, a total of $14,597,374.12 remain unencumbered as of June 30, 2024 (based on expenditures at July 3, 2024).

Over the last few weeks, Staff has developed timelines for all projects and has determined that the reallocation of funding for certain projects is necessary to meet program needs while adhering to the December 31, 2024, encumbrance deadline. The status of all projects, including proposed reallocations, are reflected in the table below.

Dept Project Original
Budget
Approved
Amend
Amended
Budget
Actuals to
Date
FYTD 23-24
Enc
Remaining %
Used
Proposed
Reallocation1
CD
3220 SHARE
Center

1,000,000 -

1,000,000

999,792

208

- 100% 1,938,260
CD
8161 Chinatown
Navigation Center

1,000,000 -

1,000,000

682,552

-

317,448 68% (12,414)
CD
8162 Homeless
Motel Program

3,000,000 -

3,000,000

2,119,226

52,896

827,8782 72% (993,275)
CD
9021 Housing
Production Fund

7,000,000 -

7,000,000

5,748,859

318,569

932,571 87% (932,571)
CD
9181 Downtown
Streets Team

600,000 -

600,000

367,631

89,761

142,608 76%
Fire
9235 Fire Station
Renovations

1,500,000 -

1,500,000

404,914

9,407

1,085,679 28%
Fire
9541 Fire Station
Repairs

1,400,000 -

1,400,000

89,488

-

1,310,513 6%
PW
8170 City Hall /
Facility HVAC

5,002,313

2,000,000

7,002,313

3,737,886

2,971,516

292,911 96%
PW
8180 Street Repair
& Traffic Safety

6,000,000 -

6,000,000

2,015,676

3,331,420

652,904 89%
PW
8190 Sewer System
Work

4,620,000 -

4,620,000

168,630

638,653

3,812,717 17% 354,539
PW
8192 Stormwater
Green Infra

3,000,000 -

3,000,000

809,084

876,628

1,314,288 56% (230,678)
PW
9086 Natividad
Creek Silt

1,545,000

(1,000,000)

545,000

-

-

545,000 0% (62,000)
PW
9293 Stormwater
Master Plan

800,000 -

800,000

769,968

30,032

- 100%
PW
9720 Sidewalk &
Drainage Impr

6,000,000 -

6,000,000

4,418,721

805,540

775,739 87%
PW
9727 Gabilan Creek
Silt

500,000 -

500,000

211,841

66,298

221,861 56% (61,861)
LCS
8171 Playground &
Closter Park Impr

2,000,000

1,000,000

3,000,000

962,554

273,078

1,764,367 41% 277,875
LCS
8191 Park Irrigation
Updates

5,000,000

(4,000,000)

1,000,000

213,429

242,744

543,827 46% (220,812)
LCS
9165 Hebbron
Family Center Impr

1,500,000

2,000,000

3,500,000

349,005

3,150,995

- 100%
LCS
9311 Firehouse Rec
Center

100,000 -

100,000

34,867

8,071

57,063 43% (57,063)
TOTAL 51,567,313 -

51,567,313

24,104,123

12,865,816

14,597,374 72%

-

1 Proposed Reallocation column reflects “Up to” amount of transfer, meaning the amount could be a lower due to ongoing transactions.
2 Pending expense transfer will increase remaining amount to $1.1M.

Page | 3
Community Development
Housing Production funds have been used to acquire El Rey Motel (443 W. Market), 34 and 37 Soledad Street, and 403 E. Romie Lane, and to provide funding for pre-development costs ($500,000) for Eden Housing’s 855 E. Laurel affordable housing project. Other proposed housing projects, including pre-development assistance for Division Street properties and 467 E. Market, will not be ready to encumber funds by the November deadline. The three shelters include contracts for operations, security, and maintenance/facility expenses. Encampment Resolution Fund grants awarded to the City have been used to cover operational costs for the EMP resulting in an unencumbered balance of $993,275.44.

To meet the internal encumbrance deadline, staff recommends reallocating all unencumbered balances totaling $1,938,260.63 to SHARE Center Operations because it is not anticipated that these funds will be spent and/or encumbered by the deadline. The City entered a Memorandum of Understanding with the County to establish equal (50/50) financial support of SHARE operations and maintenance. County staff recently brought forward that the City has not paid its full 50% share over the past three years. City and County staff are working together to document the exact amount the City is in arrears. It is anticipated that the City will need to pay more than 50% of SHARE Center costs in FY 24-25, which is more than the $1.125 million that was approved in the FY 24-25 budget. The $1.9 million dollars will be encumbered to cover the total amount of the SHARE Center operation agreement for professional services with Community Human Services3.

If this reallocation of ARPA funding is approved by City Council, a contract amendment would be brought to City Council for consideration. Below is the proposed reallocation.

Project Original
Budget
Approved
Amendments
Amended
Budget
Proposed
Reallocation
Proposed
Amended
3220 SHARE
Center

1,000,000 -

1,000,000 1,938,260 2,938,260
8161 Chinatown
Navigation Center

1,000,000 -

1,000,000 (12,414) 987,586
8162 Homeless Motel
Program

3,000,000 -

3,000,000 (993,275) 2,006,725
9021 Housing
Production Fund

7,000,000 -

7,000,000 (932,571) 6,067,429
Public Works
The Lake Street Pump Station is the City's largest pump station collecting sewer from over 4,100 acres of residential, commercial, industrial, and school facilities. The pump station was constructed in 1967 and has 3 - 2,800 gpm pumps. After almost 60 years, the controller was replaced in March 2024 following a spill in the spring of 2022, which resulted a discharge into the Natividad Creek and a compliance order served from the Regional Board (R3-2023-0041). This aging facility requires extensive service and currently requires 24-7 attention from maintenance staff to keep it operational.

3 Staff is working with the County on this and expects to have more information at the meeting.

Page | 4
The Santa Rita Pump Station is the second largest pump station collecting sewer from approximately 348 acres of residential, commercial and school facilities, including a portion of Bolsa Knolls. The facility also dates back approximately 60 years and needs repair.

Staff received a proposal for the most urgent repairs at the pump stations including new pumps, pipe supports and a monitoring system at Lake Street pump station and a new bypass at Santa Rita pump station, totaling $835,125 and $234,652, respectively. Repair of these pump stations is crucial to allow the Future Growth Area to move forward successfully as additional sewer flows would be served by these facilities. Below is the proposed reallocation.

Project Original
Budget
Approved
Amendments
Amended
Budget
Proposed
Reallocation
Proposed
Amended
8190 Sewer System
Work

4,620,000 -

4,620,000

354,539 4,974,539
8192 Stormwater
Green Infra

3,000,000 -

3,000,000

(230,678) 2,769,322
9086 Natividad Creek
Silt

1,545,000

(1,000,000)

545,000

(62,000) 483,000
9727 Gabilan Creek
Silt

500,000 -

500,000

(61,861) 438,139
Library and Community Services
As of June 2024, the Closter Park Renovation Project had an anticipated construction gap of just under $1.7 million. On June 18, 2024, the City Council authorized the transfer of $1 million from Park Irrigation Upgrades to Playground & Closter Park Improvements, which reduced the gap to approximately $700,000. In order the reduce that gap even further, staff is recommending transferring additional funding from Park Irrigation Upgrades and Firehouse Recreation Center to Playground & Closter Park Improvements. Given staff’s increased capacity and working knowledge of irrigation systems, no additional funding is needed in the Park Irrigation Updates project. The design phase of the Firehouse Recreation Center ADA Restroom project is complete, and we have sufficient funding for construction therefore no additional funding is needed. Below is the proposed reallocation.

Project Original
Budget
Approved
Amendments
Amended
Budget
Proposed
Reallocation
Proposed
Amended
8171 Playground &
Closter Park Impr

2,000,000

1,000,000

3,000,000

277,875 3,277,875
8191 Park Irrigation
Updates

5,000,000

(4,000,000)

1,000,000

(220,812) 779,188
9311 Firehouse Rec
Center

100,000 -

100,000

(57,063) 42,937
Page | 5
CEQA CONSIDERATION:

Not a Project. The City of Salinas has determined the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378).

STRATEGIC PLAN INITIATIVE:

The projects and programs funded by the Salinas Recovery Plan under the American Rescue Plan Act (ARPA) of 2021 achieves the Council 2022-2025 Strategic Goals of Housing/Affordable Housing, Infrastructure and Environmental Sustainability, Public Safety, Youth and Seniors, and Effective and Culturally Responsive Government.

DEPARTMENTAL COORDINATION:

This staff report has been coordinated with the City Manager’s Office, Finance Department, Community Development, Fire, Public Works, and Library & Community Services.

FISCAL AND SUSTAINABILITY IMPACT:

American Rescue Plan Act (ARPA) funding allows the City to move forward with several important projects and programs with no impact on the City’s General Funds.

ATTACHMENTS:

1. Resolution
Page | 1
RESOLUTION NO. (N.C.S.)

REALLOCATION OF AMERICAN RESCUE PLAN ACT (ARPA) FUNDING FOR

VARIOUS PROJECTS WITHIN THE SAME DEPARTMENT
WHEREAS, $51,567,313 in American Rescue Plan Act (ARPA) relief funding was allocated to the City of Salinas; and
WHEREAS, on November 16, 2021, City Council approved a resolution authorizing the appropriations of ARPA funding to nineteen specific projects; and WHEREAS, U.S. Department of Treasury guidelines stipulate that the entirety of funds must be expended or encumbered by December 31, 2024, and expended by December 31, 2026; and
WHEREAS, on December 5, 2023, City Council approved a resolution authorizing the reallocation of American Rescue Plan Act funds (ARPA) in the amount of $1,000,000 from CIP Project Park Irrigation Updates (Appropriation 3911.55.8191) to CIP Project City Hall Adaptations (Appropriation 3911.50.8170); and
WHEREAS, on March 5, 2024, City Council approved a resolution authorizing the reallocation of American Rescue Plan Act funds (ARPA) in the amount of $2,000,000 from CIP Park Irrigation Updates (Appropriation 3911.55.8191) to the CIP Hebbron Family Center (Appropriation 3911.55.9165); and
WHEREAS, on April 23, 2024, City Council approved a resolution authorizing the reallocation of American Rescue Plan Act funds (ARPA) in the amount of $1,000,000, from CIP Project Natividad Creek Silk Removal (Appropriation 3911.50.9086) to CIP Project City Hall Adaptations (Appropriation 3911.50.8170); and
WHEREAS, on June 18, 2024, City Council approved a resolution authorizing the reallocation of American Rescue Plan Act funds (ARPA) in the amount of $1,000,000 from CIP Project Park Irrigation Updates (Appropriation 3911.55.8191) to CIP Project Playground and Closter Park Improvements (Appropriation 3911.55.8171); and WHEREAS, as of June 30, 2024 (based on expenditures at July 3, 2024), the City has $14,597,374.12 unencumbered; and
WHEREAS, the City has developed timelines for all projects and has determined that the reallocation of funding for certain projects is necessary to meet program needs while adhering to the December 31, 2024 deadline.

NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council authorizes reallocations of ARPA funding for various projects within the same department as detailed below:

Page | 2
PASSED AND APPROVED this 6
th day of August 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:
_______________________
Kimbley Craig, Mayor
ATTEST:
_________________________
Patricia M. Barajas, City Clerk
Dept. CIP Project Appropriation
Recommended
Adjustments
("Up To" Amount)
CD Chinatown Navigation Center Operations 3911.30.8161 (12,414) CD Salinas Homeless Motel Program 3911.30.8162 (993,275) CD Housing Production Fund 3911.30.9021 (932,571)
CD Housing & Community Development (SHARE) 3911.30.3220 1,938,260 PW Stormwater Green Infrastructure 3911.50.8192 (230,678) PW Natividad Creek Silt Removal 3911.50.9086 (62,000)
PW Gabilan Creek Silt Removal 3911.50.9727 (61,861)
PW Sewer System Work 3911.50.8190 354,539
LCS Firehouse Recreation Center 3911.55.9311 (57,063)
LCS Park Irrigation Updates 3911.55.8191 (220,812)
LCS Playground & Closter Park Improvements 3911.55.8171 277,875 City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#24-411, Version: 1
Salinas United Business Association (SUBA) FY 2024-2025 Annual Assessment Approve a Resolution of Intention to levy the annual assessment in the Salinas United Business Association (SUBA) Business Improvement Area (BIA) for FY 2024-2025 and set a public hearing date to consider the levy.

City of Salinas Page 1 of 1 Printed on 8/1/2024
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Page | 1

CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: AUGUST 6, 2024
DEPARTMENT: COMMUNITY DEVELOPMENT
FROM: LISA BRINTON, DIRECTOR
BY: CRYSTAL CASILLAS, COMMUNITY DEVELOPMENT

ANALYST
TITLE: RESOLUTION OF INTENTION TO LEVY SALINAS UNITED
BUSINESS ASSOCIATION (SUBA) 2024-2025 ANNUAL

ASSESSMENT
RECOMMENDED MOTION:

A motion to approve a Resolution of Intention (ROI) to levy the annual assessment in the Salinas United Business Association (SUBA) Business Improvement Area (BIA) for FY 2024-2025 and set a public hearing date to consider the levy.

RECOMMENDATION:

It is recommended that the City Council receive and accept SUBA’s 2023-2024 Annual Report and approve a resolution declaring the intention to levy the 2024-2025 SUBA BIA assessment and setting September 24th, 2024, as the public hearing date to consider the levy.

EXECUTIVE SUMMARY:

The attached SUBA 2023-2024 Annual Report is a requirement of California Streets and Highways Code Section 36533, so that the City Council may be advised of the prior year’s activities and uses of annual assessments levied on businesses within the SUBA BIA. With Council approval, the SUBA Annual Report also provides direction for SUBA activities and use of assessment funds in the coming fiscal year. The City Council is required to adopt a resolution of intent to levy assessment that sets the public hearing date of September 24th, 2024. The Salinas Municipal Code Section 21B-40. Collection of assessments; delinquencies states that assessments will be due and payable in advance on November 1
st.

BACKGROUND:

The Salinas United Business Association (SUBA) is a 501(c)(6) nonprofit corporation, and its Board of Directors is designated pursuant to Salinas Municipal Code section 21B-41 to serve as the Advisory Board of the Business Improvement Area formed in 2004 under the Parking and Business Improvement Area Law of 1989. Through the levying of assessments, SUBA provides district members with benefit services - support and resources they need to be Page | 2
successful business owners including business training, marketing, and streetscape beautification and maintenance. The SUBA BIA is located in East Salinas, its boundaries include the major commercial corridors of E. Market and E. Alisal Streets and N. Sanborn Road. A boundary map is provided as an attachment to this report. No boundary changes are proposed.

On November 5, 2019, the City Council adopted Ordinance 2622 amending the Salinas Municipal Code by transferring the responsibility of remitting and collecting the BIA assessment from the City to SUBA. Since fiscal year 2020 SUBA has remitted and collected the BIA assessment.

DISCUSSION:

In the BIA the City is responsible for providing base services including, but not limited to, trash collection, street sweeping, street and sidewalk maintenance and repair, streetlight installation, maintenance, and repair, and public safety (police and fire). Through the levying of assessments, SUBA provides members with benefit services, support, and resources they need to be successful. These services are an extra “benefit” that members receive on top of base services.

Examples of benefit services include but are not limited to streetscape beautification and extra maintenance, amenities such as additional festoon lighting, street banners, wayfinding signage, and outdoor seating. Other support includes, but is not limited to, marketing and promotion of the businesses and events in the BIA (website, social media, business directory, community events), connecting members with business education, technical assistance and capital resources, and assisting businesses to navigate regulatory processes such as licensing and permitting.

A summary of SUBA’s 2023-2024 Annual Report and proposed FY 2024-2025 Goals and Budget follows.
2023-2024 Accomplishments
The 2023-2024 Annual Report, attached to this staff report, provides the details of SUBA’s activities over the past year. Highlighted accomplishments include the following.  District Marketing and Promotion
o Continued to expand SUBA district visibility through promoting district businesses and events on social media platforms and shop local initiatives. o SUBA, Monterey County Business Council and City of Salinas staff worked to sign up eligible businesses to receive free publicity on the regional tourism website See Monterey and creating websites for some businesses with the assistance of college students from GetVirtual.
o Assisted businesses to obtain 28 Temporary Use of Land Permits (~value of $4,600) during September 16 Celebration, Valentine’s Day and Mother’s Day sales.
 District Appearance and Safety
Page | 3
o SUBA met with City staff throughout the year to address code enforcement issues and policies regarding illegal vendors, trash, homeless issues catering trucks as well as crime issues.
o Coordinated 4 public safety meetings this past fiscal year to address issues of safety concerns regarding burglary, theft, and unhoused individuals as well as litter and other related issues. Also communicated with the City’s Code Enforcement team on code violations.
o Completed 4 clean-ups in the Alisal area. SUBA assisted in the recruitment of 7 business owners to become ambassadors and held smaller bi-weekly cleanups.  Business Advocacy and Navigation Support
o Continued collaboration with various agencies and non-profit groups such as Monterey County Business Council, Salinas Valley Chamber of Commerce, Building Healthy Communities, Center for Community Advocacy, Central Coast Center for Independent Living, Blue Zones, California Rural Legal Assistance, Salinas Valley Memorial Hospital, Monterey County Visitors and Convention Bureau and other partners to address the barriers in the community that impact the quality of life for East Salinas residents and businesses.  Business Education and Resources
o SUBA had 443 businesses attend their workshops and classes and continued to maintain a Business Resource Center and provided basic marketing and technical support at no-cost to business members interested in creating new marketing materials, social media training and connecting members to partners and other businesses that could assist them further (business cards, flyers, logos, etc.).  Shopping Local Events
o 27 businesses in the SUBA area participated in the Small Shop Saturday. SUBA utilized radio, social media and live videos promoting the Small Shop Saturday event, Thanksgiving Basket Giveaway to 100 families, Valentine’s Day & Mother’s Day.
 Board Elections and Training
o The last SUBA Board of Director Election was held in June 2023.

Expenditures
In 2023-2024 518 businesses were billed a total of $105,521 and SUBA collected $42,448 in assessments. To date, $63,073 (60%) of the 2023-2024 assessment remains uncollected.

Delinquent payments were not sent to collection. In 2023-2024, SUBA Board Members discussed delinquent accounts and decided not to pursue with this action. Approximately over $540,000 has gone uncollected over the past seventeen (17) years according to figures shared with SUBA by the City of Salinas’ Finance Department.

Actual income for 2023-2024 totaled $149,041 including $42,448 in collected assessment revenue, $0 in grants, $3,840.00 in donations, and a 2022-2023 Fund Balance carry forward of $14,253.00.

Expenditures listed on page 9 of the Annual Report totaled $147,206, with a 2023-2024 Fund Balance of $1,835.

Page | 4
Challenges
SUBA's primary challenge continues to be accomplishing a demanding work plan with limited staff and scarce and declining financial resources. Big challenges of the past year include the following.
 A significant portion of the assessment revenue remains uncollected. Currently, about sixty percent (60%) of the total assessment amount for 2023-2024 has not been collected.

This issue has persisted, contributing to a substantial amount of uncollected revenue over the years.
 The BIA assessments are not membership fees, and businesses may mistakenly perceive these payments as optional rather than mandatory. This misunderstanding contributes to the low collection rate, as businesses might not fully recognize the obligation to pay.  The organization faces difficulties in managing its work plan effectively due to a combination of limited staffing and declining financial resources.

To address some of these challenges City staff will continue to meet regularly (bi-weekly) with the Executive Director and attend monthly Board meetings. Last year, SUBA billed businesses three times. Next year, they plan to bill four times, sending invoices electronically and by mail.

SUBA will also pursue multiple grants and host three fundraisers to increase funding.

SUBA Requests
During the approval of SUBA’s Annual report for FY 2021-2022, City Council requested that SUBA collaborate with City staff to improve the collection process by aligning the timing of the assessment with business license renewals. The Finance Department began using HdL Companies to administer and manage business licenses, leading to discussions about concurrent issuance of assessments. Currently, assessments are issued once in November, but the City explored issuing them twice a year in June and December to improve collection rates. In FY 2022-2023, per direction of the SUBA Director, Alejandro Chavez, it was determined that this change would have minimal impact on collections. Moving forward, SUBA will continue to educate business owners on the roles and benefits of a Business Improvement District for FY 2024-2025. There are no additional requests from SUBA at this time.
2024-2025 Goals and Budget
The Annual Report also outlines SUBA’s proposed 2024-2025 goals and budget. A summary of proposed activities is provided below.

Marketing and Promotions
Page | 5
Goal 1A- Provide Social Media Marketing for 40 SUBA businesses throughout the 24/25 Fiscal Year
Goal 2A- Provide 20 Social Media Posts Marketing the SUBA area throughout the 24/25 Fiscal Year
Goal 3A- Provide 15 Interviews on Television/Radio regarding promoting the SUBA area and/or services SUBA provides its members. for 24/25 Fiscal Year
Goal 4A- Provide 4 Ribbon Cutting Ceremonies for SUBA businesses for 24/25 Fiscal Year.

Goal 5A- Provide 2 mixers for the SUBA area.

Business Resources
Goal 1B- Provide 4 classes/webinars for SUBA members on Business Development for 24/25 Fiscal Year.

Goal 2B- Provide 20 workshops/webinars regarding business related topics such as:

Exit Strategy for Business Owners, Retirement Plans for Business Owners, Social Media Marketing, How to Start an Online Store for 24/25 Fiscal Year.

Goal 3B- Provide 300 one-on-one meetings with SUBA members in 24/25 Fiscal Year.

Safety
Goal 1C- Provide 4 Public Safety Meetings throughout the SUBA BIA for 24/25 Fiscal Year.

Goal 2C- Coordinate and Develop a Safety Plan for our BIA in coordination with our businesses and the Salinas Police Department for 24/25 Fiscal Year.

Goal 3C- Monitor and Contact City, County and State agencies regarding Health, Safety and Sanitary Issues in the SUBA BIA for 24/25 Fiscal Year.

Beautification & Cleaning
Goal 1D- Further develop an Ambassador Cleanup and Beatification Program in coordination with the City of Salinas that aligns with the Alisal Vibrancy Plan. This plan will include meeting with the Ambassadors 4 times per year and having monthly small cleanups in the immediate area where the Page | 6
ambassadors have their business. Training all the ambassadors to utilize the Salinas Connect App for them to utilize the app to inform the city of graffiti, excess garbage and abandoned vehicles.

Goal 2D- Schedule and Implement 4 Cleanups throughout the SUBA BIA for 24/25 Fiscal Year. We will include the number of garbage bags collected from the Ambassador program and cleanups, along with details on volunteer participation, to provide metrics for future measurements.

SUBA proposes no changes to the method of the calculation of assessment for FY 2024-2025.

Levy of assessment is based on the Salinas Municipal Code Sec. 21B-35, established by Ordinance No. 2455, adopted by Council on September 15, 2005. SUBA’s estimated 2024-2025 assessment income is pending from the Finance Department and will be based on a 100% collection rate. Due to the extension of the deadline for renewing business licenses, the final assessment amount for the upcoming year has not yet been determined and will be presented to Council on September 24th, 2024.

SUBA’s proposed 2024-2025 Budget excluding the calculated assessment revenue, includes the FY 2023-2024 carry forward of $1,242, contracts ($88,000), grant funding ($5,000) and donations ($7,500) and for event sponsorships of $5,000. At mid-year, the SUBA Board will revisit actual assessment revenues collected and will make budget adjustments accordingly.

Alisal Vibrancy Plan Implementation and Small Business Support Efforts SUBA members participated in the preparation of the Alisal Vibrancy Plan (AVP) and continue to participate in implementation meetings, specifically on topics surrounding policies on economic development. The AVP identifies a community-based organization such as SUBA as a lead entity to organize and lead volunteer beautification efforts such as the Alisal Ambassador Program, promote local business and district identity through social media, and to connect members to business resources and assist them with navigating city processes.

In addition to AVP efforts, SUBA has been a member of the City’s Small Business Economic and Recovery Taskforce, General Plan Update Steering Committee, and AVP Implementation Committee and has assisted in the interview and selection process for Mural projects representing the Alisal business district and advising City staff and other stakeholders of Alisal business community needs. As SUBA is also part of the working group collaborating with city staff to implement best practices found in A Road to Recovery for Local Businesses Blueprint (Adopted by City Council September 17, 2021), to advise the City Council on best practices to support equitable small business recovery efforts for Salinas’ businesses and to reduce future economic disasters.

Resolution of Intention
The Resolution of Intention, provided as Attachment 1, outlines the community need, authorizing law, area boundaries, area name, use of levy assessment funds, levy calculation, and public hearing and noticing requirements. The Resolution sets a date of September 24, 2024, for a public hearing Page | 7
for Council to consider the levy of assessment for FY 2024-2025. The Resolution of Intention will be noticed in a local newspaper not less than seven (7) days prior to the public hearing, as required by the Streets and Highways Code.

CEQA CONSIDERATION:

Not a Project. The City of Salinas has determined that the proposed action of accepting SUBA’s annual report and approving the Resolution of Intention setting the public hearing date for consideration of SUBA’s annual levy of assessment is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378). Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability.

STRATEGIC PLAN INITIATIVE:

This staff report and recommendations aligns closely with the City Council’s goals (2022-2025) of Economic Development and Public Safety. SUBA utilized the BIA assessment to provide small businesses with access to the educational, technical assistance and financial resources they need to prosper and expand and engaging businesses in existing beautification efforts.

DEPARTMENTAL COORDINATION:

Community Development staff acts as SUBA’s city liaison. The Finance Department has assisted Community Development with verifying the assessment projections for 2024-2025. As highlighted in the Annual Report, Community Development, Public Works and Police Department staff have collaborated with SUBA to support its goals of improving the safety, cleanliness and appearance of the BIA.

FISCAL AND SUSTAINABILITY IMPACT:

The levy of assessment for FY 2024-2025 will have no fiscal impact on the General Fund. Under the amended Ordinance (2019), SUBA is to remit and collect the assessment. Designated City liaison’s time for coordination with SUBA, participation in board meetings, and review of the annual report and processing of the annual levy of assessment is already allocated through staff time in the adopted 2024-2025 City budget.

ATTACHMENTS:

1. Resolution of Intention

2. SUBA 2023-2024 Annual Report

3. SUBA 2023-2024 Annual Report Presentation

4. 2023-2024 Profit & Loss Statement

5. SUBA Boundary Map

RESOLUTION NO._______(R.O.I.)

RESOLUTION OF INTENTION TO LEVY AN ANNUAL

ASSESSMENT IN THE SALINAS UNITED BUSINESS ASSOCIATION
BUSINESS IMPROVEMENT AREA FOR FISCAL YEAR 2023-2024
WHEREAS, Division 18, Part 6, of the California Streets and Highways Code authorizes the establishment of a Parking and Business Improvement Area pursuant to the provisions of section 36500, et seq.; and
WHEREAS, the former Sunset Avenue Redevelopment Area is occupied by businesses and retail stores which are underutilized and unable to attract customers due to inadequate facilities, services and activities in the business district; and WHEREAS, the Salinas City Council adopted Ordinance No. 2437 establishing the Salinas Unified Business Area Business Improvement Area (SUBA BIA) on August 24, 2004; and WHEREAS, the Salinas United Business Association (SUBA) is a 501(c)(6) nonprofit corporation and its Board of Directors is designated pursuant to Salinas Municipal Code section 21B-41 to serve as the advisory board of the SUBA BIA; and WHEREAS, said BIA method of assessment was revised in Ordinance No. 2455, adopted by Council on September 15, 2005; and
WHEREAS, on November 5, 2019, the Salinas City Council adopted Ordinance 2622 amending the Salinas Municipal Code to transfer the responsibility of remitting and collecting the SUBA BIA assessment from the City to SUBA; and
WHEREAS, the City Council has received the FY 2023-2024 annual report from the advisory board (Salinas United Business Association) for the SUBA BIA (Annual Report). The Annual Report is on file with the City Clerk at 200 Lincoln Avenue, Salinas, CA 93901 and includes descriptions of proposed activities and improvements for 2024-2025, and WHEREAS, SUBA proposes no changes to the SUBA BIA boundary or to the calculation of assessment, and
WHEREAS, the SUBA proposes that the City of Salinas adopt a Resolution of Intention to levy an assessment on the businesses within the SUBA BIA for fiscal year 2024-2025; and WHEREAS, the City of Salinas has determined that the proposed action of accepting SUBA’s annual report and approving the Resolution of Intention setting the public hearing date for consideration of SUBA’s annual levy of assessment is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378).

NOW, THEREFORE, BE IT RESOLVED BY THE SALINAS CITY COUNCIL:

SECTION 1. The City Council approves the FY 2023-2024 Annual Report and proposes to levy assessments within the SUBA BIA for FY 2024-2025.

SECTION 2. The revenue received by levy of an assessment within the SUBA BIA shall be used only for purposes specifically permitted by the PBID Law and for no other purposes.

SECTION 3. The name of the business improvement area is “SUBA Business Improvement Area” and its boundaries are as shown on the map attached, which is incorporated herein by this reference.

SECTION 4. The Salinas City Council of the City of Salinas shall consider the levy of an assessment for the SUBA BIA for FY 2024-2025 at a public meeting on September 24, 2024, at 4 p.m. in the City Hall Rotunda, 200 Lincoln Avenue, Salinas, California. The Council will hear the written testimony of all interested persons for or against the levy of an assessment for FY 2024- 2025.
a. Interested persons may protest the levy of an assessment for the SUBA BIA for FY 2024-2025 in writing. Any protest pertaining to the regularity or sufficiency of the proceedings shall be in writing and shall clearly set forth the irregularity or defect to which the objection is made.

Each written protest shall contain a description of the business in which the person subscribing the protest is interested sufficient to identify the business and, if the person subscribing to protest is not shown on the official records of the City as the owner of the business, the protest shall contain or be accompanied by written evidence that the person subscribing is the owner of the business.

A written protest which does not comply with these requirements, shall not be counted in determining a majority protest.

The City Council may waive any irregularity in the form or content of any written protest and at the public hearing may correct minor defects in the proceedings. Every written protest shall be filed with the City Clerk at or before the time fixed for the public hearing. Any written protest may be withdrawn, in writing, at any time before the conclusion of the public hearing. b. If written protests are received from the owners of businesses in the SUBA BIA which will pay 50% or more of the assessments proposed to be levied in FY 2024-2025 and protests are not withdrawn so as to reduce the protests to less than that 50%, no further proceeding to levy an assessment for FY 2024-2025 shall be taken for a period of one year from the date of the finding of a majority protest. If the majority protest is only against the furnishing of a specified type of improvement or activity in the Parking and Business Area, those types of improvements or activities will be eliminated.

SECTION 5. The City Clerk is directed to cause this Resolution of Intention to be published once in The Monterey Herald, a daily newspaper of general circulation, published, and circulated in the City of Salinas, not less than seven days before the public hearing scheduled for

September 24, 2024.

PASSED AND ADOPTED this 6th day of August 2024, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT: APPROVED:
_________________________________
Kimbley Craig, Mayor
ATTEST:
__________________________________
Patricia M. Barajas, City Clerk
2023-2024
Salinas United Business Association
600 E. Market Street
Salinas, CA 93905

ANNUAL REPORT
Table of Contents
About the Salinas United Business Association 2
Area Map 3
Board 4
Staff 4
Vision and Mission 5
Events 6
2023/2024 Budget 8
Proposed 2024/2025 Budget 9
Assessments 2024/2025 11
Annual Plan 11
Annual Summary 19
2024/2025 Goals 23
Ribbon Cutting and Grand Opening of BKM Healthy
Foods on E. Alisal Street on June 11, 2024 .

About the Salinas
United Business
Association
The Salinas United Business Association (SUBA).

In 2003, East Salinas businesses began having a
conversation about how to improve the Alisal
area. The conversation led to the question of
how to get more resources from the City of
Salinas into the area. The idea was that East
Salinas businesses were contributing a large
portion of sales tax to the City of Salinas.

The small business owners felt that there was not enough investment from the City of Salinas in return. A group of 7 business owners came together and had a meeting with the Redevelopment Agency to brainstorm on how to create more opportunities for the small businesses. The Salinas United Business Association was formed in 2004 after these businesses along with City staff and volunteers gathered signatures to start a BIA (Business Improvement Area). SUBA serves as the Advisory Board of the Business Improvement Area (BIA) formed in 2004 under the Parking and Business Improvement Area Law of 1989. Through the levying of assessments, SUBA provides area members with benefit services, support, and resources they need to be successful business owners including business training, marketing and streetscape beautification and maintenance.

SUBA has been working closely with the City of Salinas and the Alisal Vibrancy Plan to try and create more opportunities for beautification, district identity and bringing more art to the Alisal. It is important to create opportunities for small businesses and to attract new customers by having a safe, vibrant, and clean community. SUBA embraces the rich land, the rich culture and the history of the people that make up the Alisal.

Salinas United Business Association Map
Board of Directors 2023/2024*
President
Natalie Angulo-Galaxy Party Supply 382 E. Market Street, Salinas, CA 93905 Vice-President
Angie Ramos-Salinas Pizza 988 Acosta Plaza, Salinas, CA 93905 Treasurer
Sylvia Agamao-Leal Bakery 805 E. Alisal Street, Salinas, CA 93905 Secretary-Vacant
Past President
Jose Juan Mancera-Mercadito Alegria 727 E. Alisal Street, Salinas, CA 93905 Board of Directors
Rodolfo Rodriguez-La Plaza Bakery 20 N. Sanborn Road, Salinas, CA 93905 Griselda Rodriguez-Electronics Plus 646 E. Alisal Street, Salinas, CA 93905 Lupe Covarrubias-Martinez- County of Monterey 632 E. Alisal Street, Salinas, CA 93905 Tony Valencia-Radio Lazer 600 E. Market Street, Salinas, CA 93905 City of Salinas Liaisons
Orlando Osornio, District 4 City Council Member
Carla Gonzalez, District 1 City Council Member (Alternate) Crystal Casillas-City of Salinas Small Business Navigator STAFF
Executive Director
Alejandro Chavez
Outreach Coordinator-Part-Time
Jose Barajas
*An election took place in June of 2023, every eligible business within the BIA was sent a form informing of the election and election process. A ballot was sent to every eligible business and the ballots were counted and the results were tallied, and this is the elected SUBA board of directors. An election of the board and of the officers takes place every two years.

Salinas United Business Association
600 East Market Street, Ste. 205, Salinas, CA 93905 [email protected] subasalinas.org
(831) 796-0896
VISION
“The New Alisal is the jewel of the Salinas Valley, an economic powerhouse and a thriving community where everyone is welcomed”

MISSION
“We are a community driven business association rising to improve East Salinas business district”
Events
The Salinas United Business Association hosts a variety of large events yearly.

Thousands of people flock to the SUBA area each year to experience cultural, walkable and unique events.

Events include:
● Día del Niño*
● El Grito*
● Ciclovía
● Mini Horse Parade on E. Alisal Street*
● Canastas de Gracias
● Small Business Saturday
● Posada de Navidad
● Los Reyes Magos
● Día del Los Muertos
*These events occurred in the SUBA area but were not organized by SUBA or sponsored by SUBA Salinas United Business Association BUDGET
BUDGET: 2023/2024
Salinas United Business Association
Budget 2023-2024
Income Approved Actual % of Budget
SUBA BID Assessments & Associated Membership (*projected) $ 105,521 42,448 40% Contracts $ 85,000 85,000 100%
Grants $ 5,000 0 0%
Donations $ 5,000 3,840 77%
Events (Sponorships) $ 10,000 3,500 35%
Fund Balance from FY 2022/23 $ 8,527_ 14,253
Total Income $214,048 $149,041 70%
Expense Approved Actual % of Budget
Operations $ 208,900 $147,206 71%
Accounting $ 4,500 2,443 54%
Conferences/Staff Development $ 3,500 1,000 29%
Insurance $ 4,550 2,656 58%
Permits $ 1,000 0 0%
Dues and Subscriptions $ 300 278 93%
Office Furniture & Equipment $ 2,250 345 15%
Office Supplies $ 4,750 1,093 23%
Postage $ 2,250 1,235 55%
Telephone, Website & Internet $ 3,900 2,856 73%
Rent* $ 12,000 9,360 76%
Personnel Costs $ 145,500 110,737 82%
Miscellaneous/Special Events $ 2,000 3,655 182%
Beautification and Landscaping $ 4,000 960 24%
Marketing & Promotion $ 8,500 3,653 43%
Safety $ 2,400 843 35%
Business Resources $ 7,500 6,092 81%
Total Expenses $ 208,900 $ 147,206 71%
Fund Balance for 2023/2024 $ 5,148 $ 1,835
Proposed Budget 2024/2025
Salinas United Business Association
Proposed Budget 2024/2025
Income 2024/2025 Budget
SUBA BID Assessments & Associated Membership (projected) $ 105,521* Contracts $ 88,000
Grants $ 5,000
Donations $ 7,500
Events (Sponsorships) $ 5,000
Current Balance from FY 2023/2024 $ 1,242
Total Income $ 212,263
Expense
Operations $ 208,500
Accounting $ 4,500
Conferences/Staff Development $ 2,700
Insurance $ 4,750
Permits $ 1,000
Dues and Subscriptions $ 300
Office Furniture & Equipment $ 1,500
Office Supplies $ 4,800
Postage $ 2,150
Telephone & Internet $ 3,900
Rent $ 12,000
Staff $ 152,000
Miscellaneous $ 1,250
Beautification and Landscaping $ 2,850
Marketing & Promotion $ 5,500
Safety $ 1,800
Business Resources $ 7,500
Total Expenses $ 208,500
Estimated Fund Balance $ 3,763
*Projected Estimated Figure from the City of Salinas Finance Department of 2024/2025-Have not received updated numbers they have been requested and are being adjusted.

Assessments for the Salinas United
Business Association
(Assessment Documents must be inserted once we receive from City of Salinas or HDL) Annual Plan
2023-2024 Goals-Accomplishments:

COLLABORATE Collaborated throughout the year with the City of Salinas, in particular with the Community Development Department, Salinas Police Department events, public safety meetings, dispersing of information, working with other partners such as the Salinas Valley Chamber of Commerce on various mixers and committees focused on development review recommendations for the City of Salinas. We continued our partnership with Negozee, the Monterey County Workforce Development Council, El Pajaro CDC, Mission Services Corporation and the local SBDC. In addition, we built upon our partnerships with the Monterey County Business Council (MCBC) and with the Monterey County Visitors and Convention Bureau (See Monterey). Lastly, we developed a partnership with UC Santa Cruz and their Get Virtual program to offer websites and social media use for their businesses.

Our partnerships with all of these organizations has helped SUBA continue to offer workshops, webinars, outreach and resources for our businesses. Without the work of our partners and in particular MCBC, SUBA believes that the ability to provide the necessary resources and connections to our businesses would diminish and therefore would cause for less businesses to possibly pay their SUBA assessments.

WORK Worked throughout the year with the County Health Department, the City’s Code Enforcement, Salinas City Police Department, Monterey County Work Force Development Program, SUBA members and Cal Trans to improve monitoring of city and county health and safety and had 4 clean ups throughout the year. This year we combined to have 2 clean ups in conjunction with other partners including the City of Salinas, the Salinas Valley Chamber of Commerce, Blue Zones and the Downtown Streets Team and our Ambassadors.

SUBA monitored and worked with the Police Department and Public Works to deal with issues affecting the SUBA area and small businesses with the unhoused and worked with our restaurants and mobile food vendors to deal with an increase in unpermitted food vendors in our area and throughout the city. We see a continued increase in crime, especially burglaries throughout the SUBA area. SUBA had three safety meetings throughout the area to try and address many of the issues. Along with many one-on-one meetings with businesses.

Our focus was on assisting SUBA small businesses in providing assistance to make payments on their EIDL loans, finding other grants and assisting in applying for these grants. These grants included the the City of Salinas Marketing and Technology Grants and PG&E Grants as well as others. Our partner MCBC assisted us with the Refrigeration Grants as well as helping with the Employee Retention Credit federal program. We were able to help 5 new businesses through that process through SUBA directly. All together with assistance of MCBC and others, SUBA directly brought to our businesses $243,915.00 in funds from the ERC.

OFFER SUBA offered and promoted the events from El Pajaro CDC, Negozee, Mission Services Corporation, Cal Coastal, Monterey County Business Council, Monterey County Works and the City of Salinas business workshops and classes for small business growth and development. SUBA partnered with Mission Services Corporation, Negozee, Arranque Empresial, Mariposa con Proposito , Monterey County Business Council and other partners to offer business workshops and classes for small business growth and development. We had a total of 443 businesses that participated in these workshops, webinars and classes. SUBA continued its partnership with the partners above, but in particular with Negozee, Monterey County Business Council and Aranque Empresial to offer Business Classes/Talks for our an approximate number of SUBA members that totaled 222 businesses participated in these webinars and or workshops.

IMPLEMENT Our plan to implement projects aimed at the beautification of the business corridor within the SUBA area. We planned to have eight clean-ups, we did however have four clean ups in the SUBA area. In addition to these cleanups there was a collaboration between SUBA, the Salinas Chamber of Commerce, Blue Zones and Amor Salinas to do a cleanups.

Our main focus was on small cleanups that were done directly by business owners.

Those were done individually by over 7 businesses on a biweekly basis. 2023/2024 Goals
SUBA's goal this year was to continue to establish SUBA's Relationship with its members and assist and provide resources for those who would like to utilize them. It has been a significant improvement over the past five years in providing much needed resources to our businesses.

However, the change in the economy is very evident as we see vacancies throughout the area and the closing of many small businesses in the SUBA area. SUBA built more
partnerships in order to better serve its members. None are so pronounced as the partnerships with the Salinas Valley Chamber of Commerce, the Monterey County Business
Council, SEE Monterey and Get Virtual from UC Santa Cruz.

SUBA was instrumental in assisting many businesses;
however, SUBA will continue to strive to establish more profound relationships with all its businesses. SUBA held 3 business mixers throughout the year in addition to the ribbon cuttings we had. Two were in conjunction with the Salinas Valley Chamber of Commerce. SUBA will continue to
collaborate with the City of Salinas Community Development Department and Public Works Department, Salinas Police
Department to enhance and promote SUBA's business area.

SUBA has developed partnerships with various non-profit and for-profit organizations and businesses to further develop our training/workshops. Our partnership with the City of Salinas has developed more strongly and are working closely to further develop our organization’s capacity.

SUBA is a member of the Alisal Vibrancy Plan Steering Committee, and its director is part of the Vision Salinas General Plan Steering Committee. It is important for SUBA to integrate into shaping a vision for our area. The Alisal is a great place to live, to shop, and it is essential for the City of Salinas.

Marketing and Promotions
SUBA expanded communication with the membership by doing a few surveys and analyzed this data to better serve our members this past year. SUBA will work with other stakeholder groups, by expanding use of electronic communication and social media through webinars and workshops. These past four Fiscal Years we have marketed throughout the year most of our businesses and our industries on a continuous basis in various manners that included holiday promotions, event promotions and marketing through social media and radio. SUBA will continue to focus in these areas this upcoming Fiscal year.

SUBA met door to door with many businesses-over 1,613 businesses were visited. (This means many businesses were visited various times throughout the year.) SUBA will continue to develop its relationship with other business organizations such as Negozee, El Pajaro CDC, Mission Community Services Corporation, Salinas Valley Chamber of Commerce and others to promote small businesses and cultural events in the SUBA area and beyond. SUBA will continue developing more advertising opportunities for our members in good standing to promote and market their businesses through social media marketing purchased by SUBA and other means. We will continue our partnership with Get Virtual from UC Santa Cruz to create websites and social media avenues for our businesses. There is an allocation of time utilized by staff in this program within the budget. Our goals for the upcoming Fiscal Year for Marketing and Promotions:

Goal 1A- Provide Social Media Marketing for 200 SUBA businesses throughout the 23/24 Fiscal Year
SUBA provided Social Media Marketing for 128 businesses throughout the fiscal year. SUBA will make a stronger effort to continue increasing this objective.

However, we focused on adding many of our businesses to SEE Monterey Website and we also focused on getting businesses newly created websites.

Goal 2A- Provide 36 Social Media Posts Marketing the SUBA area throughout the 22/23 Fiscal Year
SUBA provided 24 Social Media Posts Marketing the SUBA area throughout the fiscal year. SUBA will continue to increase in this area and will continue to partner with other organizations to have a farther reach.

Goal 3A- Provide 8 Interviews on the Television/Radio regarding promoting the SUBA area and/or services SUBA provides its members for 23/24 Fiscal Year Provided an additional 9 radio interviews and 4 television interviews promoting the SUBA area, services, grants, shopping experience and promoting events in the SUBA area.

Goal 4A- Provide 6 Ribbon Cutting
Ceremonies for SUBA
businesses for 23/24
Fiscal Year.

SUBA provided 3 Ribbon
Cutting Ceremonies for
SUBA businesses in the
fiscal year. SUBA
reached out to 7
businesses and only 3
had ribbon cuttings. Two
more are scheduled for
the upcoming fiscal year.

Business Resources
SUBA will work directly with lenders, business organizations, non-profit groups, businesses, and governmental agencies to provide SUBA members with information and training on financing opportunities to improve their businesses. We partnered with organizations such as the El Pajaro CDC, Negozee, Mission Community Services Corporation, Salinas Valley Chamber of Commerce, Arranque Empresial, Monterey County Workforce Development Board, and Cal Coastal SBDC as well as others to make certain we offer members opportunities for training and gathering of information. In addition, we have begun conversations with TMC Community
Capital to look at another partnership. We
offered business workshops and webinars for
small business growth and development through
these partnerships. Over 222 of our SUBA
businesses took advantage of these free
workshops and webinars this past year.

However, we had a total of 443 participants join
us for the various webinars and workshops.

Within the budget includes the allocation of
time utilized by staff in this program. Our goals
for the upcoming Fiscal Year for our members
under Business Resources is as follows:

Goal 1B- Provide 24 classes/webinars for SUBA members on Business Development for 2023/2024 Fiscal Year.

We provided 22 workshops/classes/webinars for SUBA members on Business Development for Fiscal Year 2023/2024.

Names of Workshops/WebinarsNombres de Talleres

1. Bases para tu Plan de Negocio,el Manejo de
Tu Credito

2. Plan de Mercadeo y Redes Sociales, Impuesto
de Negocio

3. Transportation Workshop

4. Business Plans for Small Businesses

5. Business Builders: Resources available for
businesses and entrepreneurs

6. Insurance Needs for small Businesses-
Necesidades de Seguro para Negocios
Pequenos

7. Planes de Retiro para Negocios-Retirement
Plans for Small Businesses

8. Marketing and Technology (2 times)

9. ADA and how it affects businesses

10. Unlock your Mortgage Options and Grow your Net Worth

11. Ponga su Negocio en la Búsqueda de Google y Maps

12. Contracting Opportunities with the City of Salinas (Oportunidades de Contratación con la Ciudad de Salinas)

13. Business Basics; Taxes & Bookkeeping (Fundamentales de Negocios: Impuestos y Contabilidad)

14. Business Basics: Cash Flow (Fundamentales de Negocios: Flujo de Efectivo)

15. Aprende los Conceptos Basicso de Google Ads

16. Launch Your Food Business from Home (Lance un Negocio de Comida desde su Casa)

17. Aumente sus Ventas con la Herramientas de Google

18. Licensed to Build: Workshop for Aspiring Contractors La Ciberseguridad y Tu Pequena Empresa)

19. Commerical Leases Basics for Small Businesses (Fundaementos de arrendamiento commercial para duen@ de pequenos negocios)

20. Business Basics: Employee v. Contractor, What’s the difference? (Funadmentos de Negocios: Empleado vs. Contratista, Cual es la diferencia?

21. Business Básica: Debt & Credit (Fundamentos de Negocios: Deudas y Credito Goal 2B- Provide 7 workshops/webinars regarding business related topics such as:

Exit Strategy for Business Owners, Retirement Plans for Business Owners, How to Complete Your PPP Forgiveness Application, Social Media Marketing, How to Start an Online Store, Holiday Shopping in SUBA, Taxes for Businesses etc. for 22/23 Fiscal Year.

We provided 8 workshops/classes/webinars for SUBA members on Business Development for Fiscal Year 2023/2024. Business Plans (2), Taxes for Businesses (1), Basic Accounting for Small Businesses (1), Marketing and Technology (2), Using Social Media (1) and Retirement Planning for Small Business Owners (1) Goal 3B- Provide 279 one-on-one meetings with SUBA members in 23/24 Fiscal Year.

We provided 331 one-on-one meetings with businesses in their place of business.

We provided 117 one-on one meetings in our SUBA office. We provided 1,613 visits to businesses doing outreach.

The range of one-on-ones included grant opportunities, workshops, invitations to events and clean-ups and assistance with business licenses, planning issues, financial information and ADA issues, questions around permits, etc.

Safety
SUBA staff continued working with the City’s
Code Enforcement and County Health
Department along with many business members
to address and improve monitoring of city and
county health and safety codes throughout our
business area. SUBA facilitated community
meetings with business owners and Salinas
Police Department. We coordinated 4 meetings
this year. Additionally, we worked with Code
Enforcement on safety concerns and code
violations. Within the budget includes the
allocation of time utilized by staff in this
program. We also had three separate meetings
regarding unpermitted vendors and concerns from our small businesses. Our Safety goals for the upcoming Fiscal Year are as follows:

Goal 1C- Provide 4 Public Safety Meetings throughout the SUBA BIA for 23/24 Fiscal Year.

We provided 3 public safety meetings this past fiscal year.

Addressed were issues of safety concern, burglary, theft, and homeless issues as well as garbage and other related issues.

Goal 2C- Coordinate and Develop a Safety Strategies for our BIA in coordination with our businesses and the Salinas Police Department for 23/24 Fiscal Year.

Suggestions and safety strategies were given to small businesses in our safety meetings. A comprehensive approach or strategy was not achieved. SUBA will work with its members to begin to create a strategy along with advice from the Salinas Police Department.

Goal 3C- Monitor and Contact City, County and State agencies regarding Health, Safety and Sanitary Issues in the SUBA BIA for 23/24 Fiscal Year.

SUBA worked with New Republic Services on issues affecting garbage in the SUBA area, SUBA worked with environmental health to deal with issues of health concerns in restaurants, parking lots and unpermitted food sales. We held three meetings with small businesses pertaining to unpermitted vendors and concerns from our small businesses. SUBA worked with code enforcement to assist with health concerns and violations. SUBA worked with the police department to deal with noise complaints, trash complaints, abandoned vehicle complaints and public nuisance complaints. SUBA worked with the City of Salinas’ Salinas Connect App to deal with parking issues, graffiti issues, trash issues.

Beautification & Cleaning
SUBA worked to implement projects
aimed at the beautification of the
business corridor within the SUBA area.

We continued to monitor and work on
plans to provide more regular clean ups
and work with the city staff to further
opportunities to clean within our
business area. The focus this upcoming
year is to have more regular clean ups in
conjunction with clean ups that the City
of Salinas is doing through the Alisal
Vibrancy Plan and Clean California Grant
project. A new program was started this
fiscal year. The new program is the
Alisal Ambassador Program. Currently
this includes 7 Ambassadors made up of businesses in the Alisal area. The budget includes the allocation of time utilized by staff in this program. The following goals are in our 23/24 Fiscal Year for Beautification and Clean Ups:

Goal 1D- Create a SUBA Beautification and Art Project Plan for the SUBA BIA for 23/24 Fiscal Year. (This plan will be coordinated with the City of Salinas to complement the Clean California Grant that is focusing on art and clean ups in our area and will focus on coordinating with businesses.)
SUBA participated with the City of Salinas in the Alisal Vibrancy Plan throughout this fiscal year and was on the interview panel to choose the artists for the underpasses on E. Market/101 Freeway, E. Alisal/101 Freeway, and S.

Sanborn/101Freeway. Addtionally, SUBA was part of the interview panel for the consultants to be chosen by the City of Salinas for the Streetscape program for the Alisal. Lastly, SUBA was part of the interview panel for the consultants chosen by the City of Salinas for the District Identity program for the Alisal.

Goal 2D Schedule and Implement 6 Cleanups throughout the SUBA BIA for 23/24 Fiscal SUBA in partnership with the City of Salinas held 8 cleanups including 3 large ones that included many partners. Those partners included the City of Salinas, Amor Salinas, Blue Zones of Monterey County, Downtown Streets Team, the Salinas Valley Chamber of Commerce and many of our small businesses. In addition we held our first Ambassador Clean up. We had 6 Ambassadors participate and collected 24 bags of trash during the year from their selfreporting. We had three large clean ups took they took place in the Summer and Fall of 2023 and in the late Winter of 2024. Our large Spring Clean Up was cancelled due to weather issues.

ANNUAL SUMMARY
SUBA assisted in promoting small business members’ participation in training and educational opportunities made available through all the partners mentioned above. This past year there were 443 businesses that participated in various trainings from our classes and webinars that were offered to our members that included webinars and in-person workshops from SUBA, BBB, and Arranque Empresial.

Additionally, many of our partners including Monterey County Works, El Pajaro CDC, SBDC and Mission Community Services Corporation and others that we did not track.

SUBA assisted directly with filling out applications, gathering needed financial information, preparing financial information, scanning
needed information, and aiding
throughout the grant and loan
application and loan forgiveness
process, including the ERC
program.

Many of our businesses received
information from SUBA directly
and indirectly regarding many of
the grants and loans available
and either they themselves
applied and called SUBA
regarding questions they had
and/or had their Accountants fill
out the applications for them.

SUBA is appreciative that the
Federal Government, State Government, local government recognized the need in the last two last years and hope that further assistance comes forward as we see an ever-changing economy. As inflation and online competition continues, we need to continue assisting these businesses through these grants and loans that will allow for many of our businesses to survive. However, having said that, it has been a very slow spring for many of our businesses and many of them have informed SUBA that they may have to shut down. We have vacancies in the SUBA area which is unprecedented and have had a lot more than usual businesses close this past fiscal year.

SUBA met with City Staff throughout the year to address code enforcement issues and policies regarding unpermitted vendors, trash, unhoused issues, catering trucks as well as crime issues. This is ongoing and we will continue assisting with this role.

SUBA worked in partnership with various agencies and non-profit groups such as Building Healthy Communities, Center for Community Advocacy, CCCIL, Blue Zones, CRLA, SVMH, Salinas Valley Chamber of Commerce, Negozee, Arranque Empresial, Mission Community Services Corporation, CalCoastalSBDC, El Pajaro CDC, Monterey County Business Council, Monterey County Visitors and Convention Bureau (SEE Monterey) and other partners to address the barriers in the community that impact the quality of life for East Salinas residents but in particular our businesses. SUBA will continue working alongside these organizations for the betterment of quality of life for businesses and residents in East Salinas.

SUBA held three safety meetings with business members and with the Salinas Police Department and have continued to work in collaboration in addressing the ongoing concerns of members regarding crime and safety of the residents and businesses including homelessness and various code enforcement issues.

Additionally, SUBA and many businesses utilized the Salinas Connect App to report graffiti, trash and parking issues.

SUBA and its Board assisted in promoting special events such as a Holiday Sales and Valentine’s Day Sales along with Small Business Saturday. This past year we collaborated and partnered with the Salinas Valley Chamber of Commerce in order to create more synergy around small businesses. We held three combined mixers where many businesses participated in. We expect this partnership to continue in the year to come.

SUBA processed 28 Temporary Land Use Permits for participating business owners in good standing this year. This is an approximate value of $4,600 to SUBA members. This was for Valentine's Day and Mother's Day, and we also processed a few for other occasions in the year.

SUBA promoted Small Shop Saturday and marketing for Holiday Sales in the SUBA area as mentioned before. SUBA had 27 businesses that participated in Small Shop Saturday directly and many others that did so indirectly. SUBA utilized radio, social media and live videos promoting the Small Shop Saturday event.

SUBA continued to expand the SUBA "branding" campaign to help increase SUBA's visibility and name recognition within and outside of the SUBA District through social media. SUBA will continue developing this branding effort.

SUBA sent out thirty-eight newsletter updates through emails for an approximate total of 10,500. In addition, there were direct emails sent to businesses related to information related to workshops, meetings and events and community updates. Lastly, there were 9 robocalls made throughout the year related to workshops, events, meetings or special promotions.

SUBA responded to members' request for information about the City's graffiti abatement program and information regarding services provided by the code enforcement department along with unpermitted vendor concerns and issues brought to SUBA. SUBA worked with the City of Salinas Finance Department and Community Development Department to keep the BID roster updated and helped maintain the City's assessment procedures. Although this has been a true challenge.

SUBA held several events promoting the SUBA area this year including the following:
5th Annual Small Business Saturday, where over 27 businesses participated in. The event drew hundreds of people to the Alisal. The event was promoted through radio and through social media.

Thanksgiving Basket Giveaway to 100 families. The basket consisted of beans, rice, cooking oil, and other staples such as vegetables and canned goods, along with a large chicken. We did this in partnership with Radio Joya and a number of our businesses and sponsors.

We provided a few ribbon cuttings that included ribbon cuttings Kayros Multiservices, Sanborn Pharmacy, BKM Healthy Foods. SUBA also held several mixers throughout the year that included one at Leal’s Bakery, Salinas Pizza and participated with the Salinas Valley Chamber of Commerce on promoting and putting these together.

Challenges
SUBA 's primary challenge continues to be accomplishing a work plan with few staff, trying to encompass all that is needed within the SUBA Area with declining financial resources. Although this year with the help of a partnership with the Monterey County Business Council-SUBA had assistance with workshops, and outreach with the hiring of Jose Barajas. However, the huge issue for SUBA is the manner in which the assessment is collected. The City of Salinas moved four years ago to have SUBA collect the assessments directly. This has diminished the collection amounts and percentages. In Fiscal Year 2018-2019 SUBA assessments collected $70,819 and in Fiscal Year 2019/2020 SUBA assessments collected $67,440. This past year in Fiscal Year 2023/2024 SUBA assessments collected was $42,448.

Quite a significant decrease in assessments collected. At this point SUBA is not asking for a change in the collection of assessments nor of a change in timeline to when assessments are collected.

Although SUBA has been able to build trust with many SUBA Members, the issue of payment continues.

Low collection rate of assessments is a large challenge.

Approximately 60 percent of assessment amounts were uncollected for FY 23/24.

Of the 518 businesses billed for a total assessment value of $105,521- $63,073 was not collected.

Of those businesses, none were sent to collections.

In total SUBA collected approximately 40% of the businesses total assessed value. SUBA received a total of $42,448 in assessments for the year. In other words, $5,081 less than last year received.
(We will continue sending out billing in the hopes we collect a bit more assessments.) Grant and Fundraising opportunities for SUBA have not transpired.

SUBA will continue to focus on looking for grant opportunities for SUBA and focus on creating donation and sponsorship opportunities for the organization.

We certainly had several challenges and none greater than making certain businesses stay in business.

Inflation and an ever-changing economy with customers looking to purchase from Amazon and other online retailers the economy is truly changing for our small businesses. This past year we billed on three occasions all the SUBA businesses. Our plan for next year would be to bill four times and send out the billing in both electronic format and in paper format. All the years in the past it has only been done through the mail in paper format. Additionally, SUBA plans on applying to several grants in the hopes that we can attain a few. Lastly, SUBA plans to have at least 3 fundraisers this upcoming year to look at raising more funds.
2024/2025 Goals and Objectives
Marketing and Promotions
Goal 1A-Provide 40 Social Media Posts on business spotlights Goal 2A-Provide 20 Social Media Posts for the SUBA area promoting shopping campaigns and/or events Goal 3A-Provide 15 interviews on radio or television promoting or regarding the SUBA area and/or businesses pertaining to services provided by SUBA and/or partners and informing members of upcoming webinars/workshops and events
Goal 4A-Provide 4 ribbon cutting ceremonies for SUBA businesses We will monitor the metrics of engagement and add those metrics to next years report in our updated goals and objectives for 2025/2026.

Business Resources
Goal 1B-Provide 4 classes/workshops/webinars to SUBA Members on Business Basics Business Plan, Financial Plan, Marketing Plan, Taxes for Businesses Goal 2B-Provide 20 workshops/webinars regarding business related topics Managing Credit*, Social Media Marketing*, Insurance Needs for Business*, Retirement Plans for Owners*, Growing your Net Worth, Utilizing Google for Marketing*, Utilizing Google Ads, Fundamentals of Commercial Leases*, Employee vs. Contractor*, Using Radio and Television Ads* and Exit Strategy for Business Owners*. *They will be repeated in Spanish.

Goal 3B-Provide 300 one-on-one meetings/consultations with SUBA members We will monitor the metrics of outreach, engagement and attendance and add those metrics to next year’s report in our updated goals and objectives for 2025/2026.

Safety
Goal 1C-Provide 4 Public Safety Meetings throughout the SUBA area. To discuss issues and ongoing problems that arise due to burglaries, theft, unhoused issues, garbage, abandoned vehicles, and/or other similar issues.

Goal 2C-Coordinate and Develop business area safety plans with our businesses and the Salinas Police Department as necessary. These safety plans pertain to suggestions and or comments given to businesses from the police department regarding signage in windows, lighting in and out of the business, video surveillance suggestions and business layout in regard to visibility and safety.

Goal 3C-Monitor and Contact City, County and State agencies regarding Health, Safety and Sanitary Issues
We will include a brief report of the public safety meetings and outline the safety plans put together for businesses in next years report of Fiscal Year 2025/2026.

Beautification and Cleaning
Goal 1D-Further develop an Ambassador Cleanup program and a Beautification Program in coordination with the City of Salinas that aligns with the Alisal Vibrancy Plan. This plan will include meeting with the Ambassadors 4 times per year and having monthly small cleanups in the immediate area where the ambassadors have their business. Training all the ambassadors to utilize the Salinas Connect App for them to utilize the app to inform the city of graffiti, excess garbage and abandoned vehicles.

Work with the city community development department to do outreach and implement phases of the Alisal Vibrancy Plan including grants, public art and beautification projects.

Goal 2D-Schedule and Implement 4 cleanups throughout the SUBA Area We will include number of garbage bags collected from the Ambassador program, from the cleanups and details in regards to how many volunteers participated in the cleanups to demonstrate metrics and be able to measure them in the future.

SALINAS UNITED

BUSINESS ASSOCIATION
FY 2023/2024 ANNUAL REPORT
AUGUST 6, 2024
SUBA FY 2023-2024 ANNUAL
REPORT :

ACCOMPLISHMENTS
● 3 Ribbon cuttings
● 22 Workshops/webinars
● Promoted 128 businesses in our SUBA area.
● 24 Social Media Posts highlighting our SUBA
area
● 9 Radio interviews and 4 TV Interviews
promoting the SUBA area or services
● Had 448 one-on-one meetings with businesses
● Outreach-1,613 visits to businesses promoting
services and/or workshops
SUBA FY 2023-2024 ANNUAL REPORT :

CHALLENGES
SUBA 's primary challenge continues to be creating a financial sustainability plan.

Our partnership with MCBC has assisted SUBA in providing more workshops, and outreach with the hiring of a part time employee. When the City of Salinas moved four years ago to have SUBA collect the assessments directly, the assessments collected have reduced. Although SUBA has been able to build trust with many SUBA members the issue of non-payment continues. We have gone from averaging 70% collection rate to 40% this past Fiscal Year. In Fiscal Year 2018-2019 SUBA assessments collected $70,819 and in Fiscal Year 2019/2020 SUBA assessments collected $67,440. This past year in Fiscal Year 2023/2024 SUBA assessments collected was $42,448. At this point SUBA is not asking for a change in the collection of assessments nor of a change in timeline to when assessments are collected. • 518 businesses billed ($105,521)
• SUBA Collected $42,448
• 321 businesses ($63,073) was not collected nor were they sent to collections 60%
Low collection
rate of
assessments
SUBA FY 2023-2024 ANNUAL REPORT :
2024/2025 GOALS AND OBJECTIVES
Marketing and
Promotions
Goal 1A- Provide 40 Social Media
Marketing
Goal 2A- Provide 20 Social Media
Posts Marketing the SUBA area
Goal 3A- Provide 15 Interviews on
the Televsion/Radio regarding
promoting the SUBA area
Goal 4A- Provide 4 Ribbon Cutting
Ceremonies for SUBA businesses
Business Resources
Goal 1B- Provide 4
classes/webinars for SUBA
members on Business Basics
Goal 2B- Provide 20
workshops/webinars regarding
business related topics
Goal 3B- Provide 300 one-on-one
meetings with SUBA members
Safety
Goal 1C- Provide 4 Public Safety
Meetings throughout the SUBA BIA
Goal 2C- Coordinate and Develop
business area Safety Plans with our
businesses and the Salinas Police
Department
Goal 3C- Monitor and Contact City,
County and State agencies regarding
Health, Safety and Sanitary Issues
Beautification &
Cleaning
Goal 1D- Further develop an
Ambassador Cleanup and
Beautification Program
Goal 2D- Schedule and Implement
4 Cleanups throughout SUBA BIA
SUBA FY 2023-2024 ANNUAL REPORT SUMMARY:

BUDGET 2023-2024
SUBA FY 2023-2024 ANNUAL REPORT SUMMARY:

PROPOSED BUDGET 2024-2025

REQUESTED CITY COUNCIL ACTION
Adopt a Resolution approving the FY 2023/24
Salinas United Business Association’s Annual
Report, as required for the Salinas United Business
Association Business Improvement Area.

Workshop at Los
Arcos del Alisal
Adopt a Resolution of Intention to levy and collect
an annual assessment in the Salinas United
Business Association Business Improvement Area
for FY 2024/25; and set a public meeting for
September 24, 2024 to consider the levy.

Salinas United Business Association
Profit and Loss
July 2023 through June 2024
July 23-June 24
Income
SUBA BIA Assessments 42,447.50
Donations 3,840.00
Grants 0.00
Contracts 85,000.00
Miscellaneous 0.00
Sponsorships 3,500.00
Other Community Events/Mixers 0.00
Special Events 0.00
Legislative Brunch 0.00
Fund Balance 14,253.00
Total Income 149,040.50
Gross Profit 149,040.50
Professional Services, Personnel Services 110,736.50
Marketing, Newsletter 3,652.78
Beautification, Landscaping 959.61
Safety 843.22
Business Resources 6,092.08
Legal, Bookkeeping, Accounting 2,442.89
Insurance 2,656.33
Yearly Fees, Dues, Subscriptions 278.09
Rent, Lease 9,360.00
Office Supplies, Postage 2,327.89
Conferences, Staff Dev. 1,000.00
Permits 0.00
Telephone, Website, Internet 2,856.32
Special Events 3,654.53
Miscellaneous 0.00
Office Equipment 345.21
Total Expense 147,205.45
Net Income 1,835.05
6:44 PM
07/16/2024
Accrual Basis